Saying there is enough solar power for everyone in the daytime, the federal government will direct retailers to provide three hours of free power every day to consumers.
Call me cynical but I suspect this will mainly shift load for the benefit of the network operators.
I wouldn’t be surprised if supply charges and non-free hours go up to offset any income loss for the electricity suppliers. Weatlhy home owners with solar pv, large power demands, and expensive appliances who can take advantage of free hours might be better off. People in rentals or poorer home owners might be worse off and it could be yet another wealth transfer.
Eh. This is really a short-term problem. The real value of this is that it creates a market incentive for other companies to build storage and off-peak energy usage.
This may end up being the most affordable way of moving to a 100% renewable grid. Solar panels are so stupid cheap now that the best option may be to build some minimal storage, but solve most power swings by just absolutely spamming solar panels. You build enough to provide your average daily need in the lowest-producing months. Then the rest of the year you have dirt cheap power. Some power-intensive industries just become seasonal. We have a farming season. Why can’t we have an aluminum smelting season or a AI model training season? Maybe the guys working in the aluminum foundry work 12 hour days in the summer but get three months off in the winter. This type of seasonal employment variance has been the norm through almost the entire history of civilization. Before cheap lighting, even manufacturing was a seasonal affair, with longer hours in the warm months and shorter hours in the cool dark months. We’re used to our industries operating at a constant output through the year, as that is the best way to minimize CAPEX expenditure. But with dirt cheap power for most of the year, the economics of many industries change, and seasonal production swings become profitable.
Call me cynical but I suspect this will mainly shift load for the benefit of the network operators.
I wouldn’t be surprised if supply charges and non-free hours go up to offset any income loss for the electricity suppliers. Weatlhy home owners with solar pv, large power demands, and expensive appliances who can take advantage of free hours might be better off. People in rentals or poorer home owners might be worse off and it could be yet another wealth transfer.
Oh definitely. Rather telling that vic doesn’t get a look in - the state that’s entirely smart meters and infrastructured to enable this.
Eh. This is really a short-term problem. The real value of this is that it creates a market incentive for other companies to build storage and off-peak energy usage.
This may end up being the most affordable way of moving to a 100% renewable grid. Solar panels are so stupid cheap now that the best option may be to build some minimal storage, but solve most power swings by just absolutely spamming solar panels. You build enough to provide your average daily need in the lowest-producing months. Then the rest of the year you have dirt cheap power. Some power-intensive industries just become seasonal. We have a farming season. Why can’t we have an aluminum smelting season or a AI model training season? Maybe the guys working in the aluminum foundry work 12 hour days in the summer but get three months off in the winter. This type of seasonal employment variance has been the norm through almost the entire history of civilization. Before cheap lighting, even manufacturing was a seasonal affair, with longer hours in the warm months and shorter hours in the cool dark months. We’re used to our industries operating at a constant output through the year, as that is the best way to minimize CAPEX expenditure. But with dirt cheap power for most of the year, the economics of many industries change, and seasonal production swings become profitable.